University of Phoenix under FTC scrutiny for possible unfair business practices

August 3
7:32 AM 2015

Since 2009, the University of Phoenix has received $488 million from its online programs that are popular to military veterans with GI Bill benefits.  The Federal Trade Commission is investigating the University for unfair and deceptive practices involving veteran students.

The University of Phoenix is on the spot due to an alleged unfair business practices. Sources say that despite the aggressive military recruitment of colleges identified as GI recipient such as the University of Phoenix, its credentials are often not recognized by employers.

Reports from Task and Purpose slams the University of Phoenix by branding it as one of the predatory for-profit schools that takes advantage of the GI Bill. Its sources say that this type of school tricks GI recipients to be locked in for courses for as long as they possibly could, drain their resources such as the GI Bill and end it with economically useless school credits.  

Since 2009, the university has received $488 million from its online programs with an additional hundreds of millions from military tuition funds towards its various campuses. A new federal rule made effect starting July 1 states that if a student of a career program didn't earn sufficient sum to repay student loans, the school may lose access to a financial aid program. 

Meanwhile, education and military leaders have renewed the Common Ground Compact on the 29th of July in Waterfront Place Hotel, Morgantown. The common ground compact creates a network of support for military children to ensure they are college and career ready. It offers scholarship opportunities, mentoring and training. 

The heroes of the country who needs help the most once they're ready to join the society has been the target of predatory educational facilities for the last 4 years. Hopefully, this probe will not only improve the military education but give justice to victimized veterans as well.

© 2023 VCPOST, All rights reserved. Do not reproduce without permission.


Join the Conversation

Subscribe to VCpost newsletter

Sign up for our Deals of the Day newsletter.
We will not spam you!

Real Time Analytics